What Is an HOA Board and Why Are They Important?
Most of us have a preliminary understanding of how an HOA board works. We know that there is the board itself, someone in charge, and the rules they’re expected to enforce for the community association. For most members of HOAs in Aurora, CO, this basic knowledge may suffice and they may not require further information about their HOA boards. However, when a dispute arises with members of your HOA, it is important to clearly and concisely know the roles of every aspect of your HOA board to best serve your community members. If you’re considering forming a board for your Aurora, Colorado, homeowners association, here is a primer on what an HOA board is and what its responsibilities should be.
Defining an HOA Board
In most cases, HOA boards take form by the creation of governing documents, usually taking place before land development begins. Once the governing documents have been established, the board is then elected according to the agreed-upon bylines of the documents. Governing documents can also determine the roles of each board member, as well as further elaborate on the rules and regulations of their community. Knowing how HOA boards are created is important for community members, and it is equally important for homeowners to elect members of their community to represent them in the governance of their HOA.
Rule Enforcement
The HOA board is responsible for enforcing rules that are designed to protect property values and typically require that homeowners maintain their homes to meet certain aesthetic standards. In addition, having an HOA board is important because of the need to maintain common areas including trails, pools, or playgrounds. In Aurora, CO, HOA boards may take additional action if an HOA member is delinquent in completing their membership fees. In Aurora, CO, collection action includes obtaining a lien against your home in accordance with Colorado law. HOA boards in Aurora and throughout the state of Colorado can foreclose on your home if the amount on the property lien is equal to or greater than six months of assessments and the board agrees to foreclose.
Financial Duties
In relation to collecting fees, the HOA board is also responsible for maintaining a budget for the entire community. Board members should typically meet annually to determine their budget for the following year, and they do so by accurately collecting enough fees from their fellow community members. The annual HOA budget should also include a reserve fund to protect the community in the face of any emergencies. Once a budget has been established, each board member should be provided with a maintenance assessment.
While this list of responsibilities is thorough, it is by no means a comprehensive list meant to establish your HOA board. If you are considering forming an HOA board in Aurora, CO, save yourself the trouble of finding out the details and reach out to the community association management experts at The Management Trust. For more than 30 years, homeowners associations throughout the U.S. have entrusted The Management Trust with all their community management services. We pride ourselves on being one of the few employee-owned HOA management companies in the country, and we continue our dedication to doing things right by providing excellent service to each HOA that we work within Aurora, Colorado, and throughout the country. If you’re ready to move forward with establishing your HOA board, contact us today and let us make a difference in your Homeowners Association.
